Google working on phone with built-in payment tool

By Denny Carter

November 16th, 2010

Google Inc. is taking another stab at designing a game-changing mobile phone, this time by including a built-in payment system that eventually could enable the devices to replace credit cards, reports the Associated Press. The new phone got a brief preview Nov. 15 when Google CEO Eric Schmidt took the stage to kick off the Web 2.0 summit, a technology conference held annually in San Francisco. Schmidt confirmed that Google has been working on a sophisticated new computer chip and an upgrade of its Android mobile operating system that will include a payment processing tool. He showed off the new phone with the device’s name and manufacturer concealed. Several technology websites have speculated the new phone will be called “Nexus S” and will be manufactured by Samsung Electronics Co. The new phone will feature a Near Field Communication, or NFC, chip that will enable phones to transmit the payment information of the device’s owner to vendors using compatible technology. The transactions will be completed by tapping a physical point, such as a payment terminal or other objects encoded with the information needed to complete the purchase. Schmidt said the chip will be more secure than the magnetic stripes that carry personal information on credit cards, an advantage that has been greeted enthusiastically by payment processors…

Denny Carter

Dennis has covered higher education technology since April 2008, having interviewed some of the most recognized IT pros in U.S. colleges and universities. He is always updating eCampus News with the latest in pressing ed-tech issues, such as the growing i